To clients, lawyers are usually a cost. At best they sometimes recover another cost. But to distressed debt investors, lawyers are a profit engine. In the case of Elliott Management, a very high-profit engine.

Elliott’s infamous bet on Argentine bonds yielded 10 to 15 times its original investment, according to The Wall Street Journal. Whether this calls for a redesign of sovereign finance is a serious question. But taking the system as it exists, the fund’s legal strategy was a grand success. It’s no coincidence that the clients who greenlighted, masterminded and stewarded the investment (founder Paul Singer and portfolio managers Jay Newman and Lee Grinberg) graduated from law school at Harvard, Columbia and the University of Pennsylvania, respectively.

This content has been archived. It is available through our partners, LexisNexis® and Bloomberg Law.

To view this content, please continue to their sites.

Not a Lexis Advance® Subscriber?
Subscribe Now

Not a Bloomberg Law Subscriber?
Subscribe Now

Why am I seeing this?

LexisNexis® and Bloomberg Law are third party online distributors of the broad collection of current and archived versions of ALM's legal news publications. LexisNexis® and Bloomberg Law customers are able to access and use ALM's content, including content from the National Law Journal, The American Lawyer, Legaltech News, The New York Law Journal, and Corporate Counsel, as well as other sources of legal information.

For questions call 1-877-256-2472 or contact us at [email protected]